One Million In California Losing Health Insurance

Armen Hareyan's picture
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A consumer advocacy group Families USA has published its new statistics on health insurance in the United States. It shows that the fast rising cost of monthly health insurance premiums are is the main reason for people not to have insurance coverage. Only in California between January of 2008 and 2010 nearly one million people will have lost their health insurance coverage.

Every week 6,380 people in California are losing health insurance coverage. Being the most populous state of the Union between January 2008 and December 2010, 995 thousand 200 people are estimated to lose their health insurance coverage.

"Clearly the cost of health insurance is out of control and these costs are making it unaffordable," said Ron Pollack, executive director of Families USA. "Employers who offer health coverage are still being forced to pass higher costs to their employees by imposing higher fees, co-payments or offering plans with fewer benefits," he added.

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Given this situation, he said, many employers choose not to provide this service simply because it is very expensive. Therefore, employees themselves can't buy health insurance because it's not affordable for them.

Over the past eight years the companies that offer health insurance coverage fell by six per cent. The latest data from the Census Bureau indicate that some 45 million 700 thousand in U.S. lack medical insurance. This is why health care reform has become a major domestic priority for the president Barack Obama and the focus of his attention this week.

Just this week the Senate Health Committee passed a bill as part of this strategy to create a program that provides affordable health care and includes public health insurance option.

It requires employers to offer health insurance coverage to their employees. The legislation builds on the existing employer-based system and strengthens it. If an individual likes the health insurance he or she has, they get to keep it. The bill provides better choices for those with no coverage now, and those for whom coverage is unaffordable. The legislation also gives small businesses better options for high value health coverage.

By Armen Hareyan
Source: Families USA

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